Western Alliance Bancorp Third Quarter Earnings Sneak Peek

Western Alliance Bancorporation (NYSE:WAL) will unveil its latest earnings on Thursday, October 18, 2012. Western Alliance Bancorporation, through its subsidiary banks, provides a range of banking and related services to businesses, professional firms, real estate developers and investors, local nonprofit organizations, high net worth individuals, and consumers.

Western Alliance Bancorporation Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for profit of 17 cents per share, a rise of more than twofold from the company’s actual earnings for the year-ago quarter. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. Analysts are projecting profit to rise by 186.4% compared to last year’s 63 cents.

Past Earnings Performance: Last quarter, the company topped estimates by 0 cents, coming in at net income of 16 cents per share against a mean estimate of profit of 13 cents. The company fell in line with estimates in the first quarter.

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A Look Back: In the second quarter, profit rose more than twofold to $14 million (15 cents a share) from $6.2 million (5 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 2.1% to $85.2 million from $83.5 million.

Stock Price Performance: Between July 19, 2012 and October 12, 2012, the stock price rose $1.23 (13.3%), from $9.25 to $10.48. It saw one of its worst periods between July 17, 2012 and July 25, 2012 when shares fell for seven straight days, dropping 6.3% (-60 cents) over that span. The stock price saw one of its best stretches over the last year between June 25, 2012 and July 3, 2012, when shares rose for seven straight days, increasing 11.8% (+$1) over that span.

Analyst Ratings: With six analysts rating the stock a buy, none rating it a sell and three rating the stock a hold, there are indications of a bullish stance by analysts.

Key Stats:

On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 5.2% in the third quarter of the last fiscal year, 14.1% in the fourth quarter of the last fiscal year and 5.7% in the first quarter before increasing again in the second quarter.

Wall St. Revenue Expectations: On average, analysts predict $78.6 million in revenue this quarter, a rise of 1.2% from the year-ago quarter. Analysts are forecasting total revenue of $310.2 million for the year, a rise of 6.2% from last year’s revenue of $292.1 million.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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